NEW YORK, NY – ASB Real Estate Investments announced today the $25 million acquisition of a prime Union Square mixed-use building at 862 Broadway between 17th and 18th Streets. The purchase was made on behalf of ASB’s Meridian Real Estate Fund II, a low-leverage value-creation investment vehicle for institutional investors, in a partnership with L3 Capital.

The four-story, 7,100-square-foot, brick townhouse structure sits at the northwest corner of Union Square leading up Broadway on a strategic Midtown South corridor, which connects to the Flatiron District and Madison Square Park. With 26 feet of premier street frontage, high ceilings and floor-to-ceiling glass, the building offers opportunity for remodeling into a highly desirable multilevel retail space. ASB and L3 have previously joint ventured in similar high-street retail investments in nearby SoHo and Williamsburg, Brooklyn. The building is currently 100% leased.

James Darcey, ASB Managing Director and Portfolio Manager for ASB’s Meridian Funds, said: “Union Square is fast transforming into one of the city’s most heavily trafficked pedestrian crossroads and easily accessible retail-restaurant destinations. Its strategic subway hub and popular farmer’s market enhance the potential for the area’s growth and attractiveness for retailers looking for signature Manhattan locations.”

The seller was 862 Broadway, LLC, a partnership controlled by L3.

About ASB Real Estate Investments
ASB Real Estate investments (ASB), a division of ASB Capital Management, LLC, is a leading U.S. real estate investment management firm, managing $6.6 billion* in gross assets under management for over 340 institutional clients. Headquartered in Washington DC, ASB invests in major urban markets across the country, concentrating in office, multifamily, retail and industrial properties. ASB manages the ASB Allegiance Real Estate Fund, its sole vehicle for core investing; the ASB Meridian Real Estate Fund, a low-leverage value creation vehicle; and a development separate account.

L3 Capital
L3 Capital is a best-in-class boutique prime urban retail real estate investment firm that targets institutional quality core-plus and value-add urban retail investments within first tier metropolitan markets. Headquartered in Chicago IL, L3 invests in major urban markets across the country, concentrating in retail and mixed-use properties.

* as of March 31, 2016

The information provided in the release does not constitute an offer to sell or buy securities or the solicitation of an offer to sell or buy securities.